What Is Recruitment Outsourcing?

Recruitment outsourcing is the utilisation of a specialist external organisation for the sourcing and hiring of staff. Their task is to perform all aspects of the recruitment process; from profiling through to organisation of interviews, and in some cases even taking interviews and ultimately hiring (this comprehensive package is generally referred to as Recruitment Process Outsourcing or RPO).

Increasing numbers of businesses are turning to external recruitment companies in order to recruit the best possible new starters to their organisation. The task of recruiting was historically amongst the duties of the human resources department of an organisation, but many large companies are now looking to outsource this task so that the HR department can focus more upon business strategy and existing personnel management. Small businesses which lack a dedicated human resources function are particularly reliant upon recruitment outsourcing as a means of gaining the best possible new staff with minimum disruption to their day to day operations.

Utilising an external, specialist organisation to perform your recruitment for you brings with it a number of benefits:

Lower Cost

Advertising for a position yourself can be an extremely costly endeavour. Just having your job advert listed on one job board can cost several hundred pounds - and having an advert put into the local paper can cost considerably more. When utilising an external recruitment organisation, your job advert is pushed out through their carefully researched and highly effective channels as part of your fee. Flat fee recruitment in particular represents incredible value in terms of the total cost of the service.

Faster Sourcing

Given that a dedicated recruitment agency is an expert in their field and fully geared towards highly effective recruitment practices: they will almost certainly perform the task of recruiting for a role considerably faster than you could do so in-house.

Higher Quality of Candidates-

Not only will a recruitment specialist be able to source candidates very quickly, but will also make maximum use of their experience, networks and contacts to find the best possible people for the job.

Improved Time Efficiency

Outsourcing your recruitment requirements avoids the need to allocate your own time or that of another member of staff to the task of sourcing candidates. If your company doesn't have a fulltime human resources function then this is a particularly strong argument for bringing a recruitment company on board.

Whether you are looking to recruit regularly, on an ad hoc basis or indeed only very rarely; it is well worth considering outsourcing. It is always a good idea to carefully consider which online recruitment company is best for you.

A typical American technical hand will charge anything fro $50 upwards for their services. This works out to nearly $8500 per month. Compared to this an Indian with the same skill and employed by Indian outsourcing call centers are typically paid Rs.12,000 to s.40,000 per month, depending on their skill & experience.

Most of the foreign companies, with a few exceptions, do not charge their clients for online help. By outsourcing these technological calls to India, they save a good amount of money. The Indian Outsourcing Companies generally enter into a deal with these foreign companies for a pre-determined time period and hire people to outsource solutions from India.

7 Advantages of Outsourcing Business Operations

The primary advantages that a company can gain by outsourcing its non-essential business functions include: keeping focus on the business's main activity, reduce cost and increase efficiency, reduce overhead expenses, control operations, have more flexible staffing, maintain continuity and risk management, and improve internal staff development.

Deciding to outsource some of your company's operations will not just provide financial advantages. Outsourcing will also help your primary business operations to improve while cutting costs for other non-essential business operations. Outsourcing will provide your office operations the following advantages:

Keep focus on your main business activity

Outsourcing some of your business operations will allow you to keep your attention and focus on the core of your company's business. When a company expands, the different components of its operation tend to get lost in the shuffle of all the promotional or supporting activities of the business. Instead of carrying all the weight on your company's shoulder, consider outsourcing these small activities to prevent compromising the quality of your business products or services.

Cost and efficiency savings

Your office can take advantage of the savings on cost and improved efficiency when outsourcing certain workloads. This advantage is maximizes by small-time office operations that use complicated systems, such as a small retail store that accepts various credit cards for payments. The owner can outsource this process to a third party that specializes in accounting and credit cards.

Reduced overhead expenses

To reduce the overhead of the office is to minimize operations costs. If your company is expanding due to client demands but cannot handle the expansion costs, then outsourcing options are viable. This is generally applicable to outbound telemarketing businesses.

Control on operations

The managing office will also regain control of their operations when outsourcing is used to overcome mismanaged departments. This will motivate the administering office to work on their internal management to regain control. Outsourcing provides an indirect impact on honing management skills.

Flexible staffing

Outsourcing staffing needs is practical for operations with a periodical growth of work load. This will cut down costs because you will spend only for what is needed. It will also give the company the advantage and flexibility in staffing human resources.

Continuity and risk management

Outsourcing is also the most immediate way to solve the problem of an unexpected human resource shortage. Considering this will reduce the mismanagement risk of operations. Having outsourced service will provide your office continuity in operations despite the short-notice risk.

Internal staff development

In situations where the company is working on a large scale project that cannot be encompassed by the internal operations alone, outsourcing to a specialized firm will provide more than financial advantages. This will also help the internal staff to develop and learn from the outsourced specialist. It is, in one way or another, an indirect and cheaper method of training your internal staff to acquire and learn a new sets of skills.